Itochu, Toyota Tsusho Show Interest in GSPC LNG

Two Japanese companies and at least four Indian players are in the race to pick up 25% stake in a liquefied natural gas venture promoted by state-owned Gujarat State Petroleum Corporation to build an LNG terminal at Mundra in Gujarat, India, Economic Times has reported.

Itochu Corp and Toyota Tsusho of Japan besides Gail India, Petronet LNG, Torrent Group and a JV between Reliance and British Petroleum have responded to the expression of interests invited by GSPC LNG for 25% stake, a top Gujarat government official said, the newspaper reported.

Gujarat State Petroleum Corporation (GSPC) will hold 50% stake in GSPC LNG that is building a 5 mmtpa LNG terminal. Adani Group will hold the rest 25%.

According to state government officials, GSPC may dilute its equity partially once the proposed terminal commences commercial operations by mid-2016. It envisages expansion of capacity to 10 mmtpa in the second phase and ultimately to 20 mmtpa, Economic Times said.